Parex Resources Strengthens Strategic Partnerships in Exploration
CALGARY, Alberta – Parex Resources Inc. (“Parex” or the “Company”) (TSX: PXT) is thrilled to report significant updates regarding its exploration efforts in the Llanos Foothills. Through a successful collaboration with its strategic partner Ecopetrol S.A. (“Ecopetrol”), the Company has established a comprehensive strategic alliance meant to enhance gas development. Parex also announced solid production results and plans to release future guidance.
Exciting Developments in Exploration
Key to this strategic alliance is the finalized agreement concerning the Niscota block, a move that bolsters Parex’s ability to secure the Floreña Huron exploration prospect. The ongoing advancement of the Farallones exploration prospect is another pivotal area where regulatory approvals have been secured, and initial work is underway, demonstrating a commitment to tapping into the extensive natural resources Colombia has to offer.
Collaboration for Future Success
Commenting on these developments, Imad Mohsen, Parex’s President & Chief Executive Officer, emphasized the importance of a gas-focused strategy in Colombia and how this partnership with Ecopetrol allows for leveraging local expertise and modern technologies. This strategic partnership aims to not only increase production but also generate additional foreign investment, all while identifying and producing new volumes of natural gas for the local market.
Operational Performance and Future Outlook
Parex is excited about its operational performance, reporting strong production levels sustained in late 2025. The average production rate reached approximately 49,700 barrels of oil equivalent per day (boe/d). Looking forward, Parex aims to maintain this momentum into 2026 with established plans for exploration and production growth.
Llanos Foothills Exploration Strategy
Parex and Ecopetrol are reinforcing their position in the Llanos Foothills region, recognized for its exceptional exploration potential. Together, they are committed to ensuring a sustainable energy future for Colombia. Recent developments related to the Niscota block have highlighted this dedication.
Niscota Block Advancements
Following the approval from the regulator for the Piedemonte Convenio extension, Parex has secured a 50% participation agreement in future production within the extended area. This strategic decision allows Parex to drill the Floreña Huron exploration well, with works set to commence in the forthcoming program. This initiative will play a crucial role in enhancing output from the already productive Floreña field.
Progress in the Farallones Block
Significant progress has also been made in the Farallones exploration prospect, where all regulatory approvals have been granted, allowing for initial work. Parex shares the excitement with Ecopetrol regarding their aligned efforts to drill the Farallones well under a 100% capital agreement. Initial civil works are planned to commence as part of the 2026 program to spud the development well.
Regular Production Updates
Parex experienced notable averages of 49,300 boe/d in October 2025, which increased slightly to 50,300 boe/d in November. This growth was predominantly fueled by the success of new wells at LLA-32 and LLA-74, which are now stabilizing after initial high rates. The Company expects to achieve its annual production guidance of approximately 45,000 boe/d for the fiscal year, positioning it favorably as it looks ahead.
Looking Beyond: 2026 Guidance
With the goal of ensuring clarity and transparency, Parex plans to unveil its guidance for 2026 shortly. This strategic move reflects its commitment to maintaining stakeholder engagement while setting ambitious targets. The scheduled release of this information is anticipated after market closure.
About Parex Resources Inc.
Parex Resources Inc. stands as a major independent oil and gas company in Colombia, focusing on sustainable practices and conventional production. The company's headquarters reside in Calgary, Canada, while its operational office lies in Bogotá, Colombia. Shares are publicly traded on the Toronto Stock Exchange under the ticker symbol PXT.
Frequently Asked Questions
1. What is Parex Resources focusing on with its strategic alliance?
Parex is concentrating on expanding gas development in Colombia, enhancing production through collaboration with Ecopetrol.
2. What are the production average goals for 2025?
Parex aims to maintain an annual production average around 45,000 boe/d for the fiscal year.
3. Why is the Llanos Foothills significant for Parex?
The Llanos Foothills are crucial due to their exceptional exploration potential and the opportunity they provide for gas development.
4. When can stakeholders expect 2026 guidance?
Parex plans to release its 2026 guidance after market closure on January 19, 2026.
5. Where are Parex Resources' offices located?
Parex has its headquarters in Calgary, Canada, and an operational office in Bogotá, Colombia.
